The June 2025 Cost-of-Living Adjustment (COLA)

Social Security Disability Insurance (SSDI) payments increased in June 2025 as part of the annual Cost-of-Living Adjustment (COLA). This adjustment happens every year and raises the amount you receive to account for inflation. The exact percentage increase for 2025 was set by the Social Security Administration based on the Consumer Price Index (CPI) from the third quarter of the previous year.

The June payment is when you will see the new amount hit your bank account or payment method. If you receive SSDI, your June 2025 payment reflected the COLA increase that was announced in October 2024. This is the standard timing: the announcement comes in the fall, and the payment increase takes effect the following June.

Not all SSDI recipients see the increase at the same time. The exact payment date depends on your birth date. Social Security staggers payments across the month so the agency can process them in batches. Your personal payment schedule was set when you first began receiving SSDI and does not change year to year.

Key Takeaways

  • SSDI payments increased in June 2025 through an annual cost-of-living adjustment that raises benefits to match inflation.
  • The percentage increase was announced in October 2024 and applied to all SSDI payments starting in June 2025.
  • Your payment date in June depends on your birth date, not on when you started receiving benefits.
  • The COLA increase also affects Supplemental Security Income (SSI) and Medicare premiums tied to your SSDI amount.

How the COLA Percentage Is Calculated

The COLA is not set by Congress or by individual need. It is calculated automatically using the Consumer Price Index for Urban Wage Earners and Clerical Workers (CPI-W), which measures how prices for goods and services change over time. Social Security compares the average CPI-W for July, August, and September of one year to the same three months of the previous year. That percentage becomes the COLA for the following year.

For the 2025 COLA, Social Security used CPI data from mid-2023 and mid-2024. The resulting percentage was applied to your Primary Insurance Amount (PIA)—the base benefit amount you were receiving before June 2025. If you were receiving $1,200 per month in May 2025, your June payment would be $1,200 plus the COLA percentage.

The COLA affects everyone on SSDI the same way: the same percentage increase applies to all beneficiaries, regardless of age, location, or how long you have been receiving benefits. There is no separate calculation for individual circumstances.

Who Receives the June 2025 Increase

All SSDI beneficiaries who were receiving payments in May 2025 automatically received the June 2025 COLA increase. You do not need to report anything, submit paperwork, or contact Social Security to receive it. The increase is applied directly to your account.

If you became disabled and started receiving SSDI after June 2025, your initial payment amount will already include the 2025 COLA. You will not receive a separate "increase" because the higher amount is built into your first check.

Family members who receive benefits based on your SSDI record—such as a spouse or child—also receive the same COLA percentage increase on their payments. The increase applies to the entire household's benefits at the same time.

Impact on Medicare Premiums and Other Programs

The COLA increase affects more than just your SSDI payment. If you are enrolled in Medicare Part B (medical insurance), your monthly premium may change based on the COLA. Social Security uses a "hold harmless" rule that prevents your Part B premium from rising faster than your COLA increase, but the premium can still go up if the COLA is large enough.

If you receive Supplemental Security Income (SSI) in addition to SSDI, the SSI payment also increases by the same COLA percentage. The federal SSI benefit amount and the resource limit both adjust annually using the COLA.

The COLA does not directly affect Medicaid or other means-tested programs, but it can indirectly affect your case if those programs use your SSDI amount to determine your income level. Check with your state Medicaid office if you are unsure how the increase affects your coverage.

Payment Schedule for June 2025

Social Security pays SSDI beneficiaries on a staggered schedule based on birth date. Most people receive payments on the second, third, or fourth Wednesday of each month. Your specific payment date was assigned when you first started receiving SSDI and remains the same every month, including June 2025.

If your birth date falls between the 1st and 10th of any month, you typically receive payment on the second Wednesday. Birth dates between the 11th and 20th usually receive payment on the third Wednesday. Birth dates between the 21st and 31st usually receive payment on the fourth Wednesday. These are general patterns; your actual date depends on Social Security's records.

You can confirm your exact June 2025 payment date by logging into your my Social Security account at ssa.gov or by calling Social Security at 1-800-772-1213. The payment date listed there is the date your bank will receive the deposit.

What to Do If Your June Payment Looks Wrong

If your June 2025 payment is significantly lower or higher than expected, or if you do not receive a payment on your scheduled date, contact Social Security as soon as possible. Call 1-800-772-1213 or visit your local Social Security office. Have your Social Security number and recent payment statements ready.

Common reasons for unexpected changes include: a change in your work income that triggered a work incentive rule, a change in your living situation that affected SSI, a change in your family composition, or a processing error. Social Security can review your account and explain what happened.

If you believe the COLA was not applied correctly, Social Security can pull up your benefit calculation and show you the before and after amounts. This is rare, but it is worth checking if the increase seems too small.

Future COLA Increases and When to Expect Them

The 2026 COLA will be announced in October 2025 and will take effect in June 2026. This cycle repeats every year. Social Security announces the COLA in early October, and you can find the announcement on the Social Security Administration website and in news coverage.

COLA increases vary from year to year depending on inflation. Some years the increase is large (3% or more), and some years it is small (less than 1%). In rare cases, there is no COLA increase at all if inflation is negative, though this has happened only three times since COLA began in 1975.

You can track inflation and estimate future COLA increases by watching the Consumer Price Index reports published by the Bureau of Labor Statistics. However, the official COLA is not final until Social Security announces it in October.

Frequently Asked Questions

Will the June 2025 increase affect my taxes?

The COLA increase may affect how much of your SSDI is taxable, depending on your total income. If you have other income (wages, interest, pensions), the higher SSDI amount could push you into a bracket where some of your benefits become taxable. Social Security will send you a Form SSA-1099 in January 2026 showing your 2025 income for tax purposes.

Does the COLA increase explore if I am working?

Yes. The COLA applies to all SSDI beneficiaries, whether you are working or not. If you are using a work incentive like Impairment Related Work Expenses (IRWE) or Plan to Achieve Self-Support (PASS), the COLA still increases your base benefit amount. Your work incentive calculations may change as a result.

Can I get back pay if the COLA was not applied to an earlier month?

COLA increases are applied only starting in June of the year they take effect. You cannot receive back pay for months before June. If you believe a COLA was missed in a previous year, contact Social Security to review your payment history.

What if I disagree with the COLA amount?

The COLA is set by law and applies equally to all beneficiaries. You cannot dispute the percentage itself. However, you can request that Social Security recalculate your benefit if you believe there was an error in how the COLA was applied to your specific account.